well they are incorrect. many other sources are saying $6.5 billion, including the brokerage companies who advised them and other brokerage firms.

Do you have any examples?

well i cant give what brokerage dealers say as well as the company who advised nextel partners, but i gave some examples on post https://www.phonescoop.com/carriers/forum.php ?fm=m&ff=1&fi=471610.

nextel18 said:
well i cant give what brokerage dealers say as well as the company who advised nextel partners, but i gave some examples on post https://www.phonescoop.com/carriers/forum.php ?fm=m&ff=1&fi=471610.

That's it....cite your own post that we are putting in question in the first place. Real good evidence that you are right. 🙄

My understanding that Sprints original offer was in the 6bil range and nexpart laughed in their face. Sprint got their info from nextel prior to merger, but, NexPart claimed it was way off. NexPart claimed an approximate 13-14 bil value and the bvrokerage firms hired by each side helped settle what i read as a 9.6 bil price tag.

Read this article:

bizjournals.com
Sprint Nextel will buy affiliate for $6.5B
Wednesday December 21, 11:06 am ET

Sprint Nextel Corp. will buy wireless affiliate Nextel Partners Inc. for $28.50 a share, or $6.5 billion.

In a written release Tuesday, the companies said the $6.5 billion figure includes amounts payable upon conversion of debt securities and settlement of options. Sprint Nextel will assume about $1 billion of Nextel Partners' debt, Sprint Nextel spokeswoman Leigh Horner said Wednesday.

http://biz.yahoo.com/bizj/051221/1205439.html?.v=9 »

that is wrong though...

this is according to the wall street journal online; Sprint Nextel to Buy Remainder Of Nextel Partners for $6.5 Billion.

bizjournals.com; "Sprint Nextel Corp. will buy wireless affiliate Nextel Partners Inc. for $28.50 a share, or $6.5 billion."

including many brokerage sources as well as the brokerage who was in the deal mentioned it was a $6.5 billion deal not the amount of $9.2B.

You don't think Sprint's own site has it right?

well this issue is very hard to understand and perhaps many people dont understand it.. many sources including the company who advised nextel partners and sprint say the $6.5 billion instead of the $9.2 billion. i would tend to go with them. brokerage firms also have been saying the $6.5 billion also.

and by the way on sprint's website it says " The aggregate amount payable to Partners Class A stockholders will be $6.5 billion including amounts payable upon conversion of debt securities and upon settlement of options"

that means they only paid $6.5 billion.

Ok, and did they assume debt? Where did the other 2.7 Billion comes from?

yes. they assumed the debt. debt= $1.3 billion.

Any idea of the other 1.4 Billion?

this is according to a brokerage firm; "The company already owns approximately 32% of Nextel Partners, so the purchase price to Sprint, including debt, works out to about $6.5B."

here is another one; "Sprint is to pay $5.5B in cash for the 68% stake in NXTP that
they do not already own and assume $950MM in net debt."

so it is $6.5b.

hope that helps.

The remaining 1.4 is for debt conversion and other fees

no that is wrong.. it is $6.5 billion INCLUDING debt.

All I know is that 9.2 or 6.5 or 5.5, they are getting awfully close to my orginal 15 Billion prediction.

That puts the total deal to be almost $50 Billion.

right now, the buying the affiliates total= $12.9 billion which doesnt include the UPCS buyout, if they will do that. i think upcs could get around $1B so that would be $13.9 billion. only 1.1 billion away from your prediction..

well, the sprint nextel deal was only $2.5 billion not $35 billion. $2.5 billion was in cash and the the rest was in stock. later on after UPCS gets bought out or what not, we will then calculate how much the deal costs. remember, we have to count what was in CASH, not STOCK. (the Stock had to deal with part of the $35 billion. only $2.5 billion was in cash)

anyway, i do think that it is very misunderstanding of how much sprint paid for nextel partners.

Well, it is still an expense, regardless of stock or cash. Cash is a commodity as well as stock or $35 Billion worth of chicken wings. It still has a cost, whether now or later.

no that is true, but they didnt pay the $35 billion in cash, it was a stock deal, but for $2.5billion . all will it do is just add to the outstanding shares, but that will cost them later on that is if they dont buy back stock.

Did they issue additional shares (diluting exisiting shareholder value) or what?

They should have just paid in Chicken wings. They have some good ones there at Arrowhead Stadium, just down the road from their corporate office. 🤣

You are the one that is wrong. The deal is 6.5 Billions to stockholders and 2.7 billion in fees and debt. Try reading the article in detail. This is costing Sprint 9.2 billion. My five year old could read this and understand. Your Problem

ok.. should i go with the companies who were part of the deal, brokerage firms who analyzed the deal and other sources who have said $6.5 billion or you who said $9.2 billion and what phonescoop said?

But Sprint's own press release said it as well. This isn't a question of "your" sources vs. "his" sources, don't make it that way.

This conversation has been civil up to this point. Let's not let it degrade.

yea, our conversation has been civil, which has been interesting. (i cant say that about other people, including SF. on the https://www.phonescoop.com/news/discuss.php?n =1512 area.)

as we both have indicated this is very hard to understand. one says one one says another. but the brokerage firms and the companies associated with the buyout says $6.5 billion instead of the $9.2 billion. i would tend to go with them. also on sprint's website it says $6.5 billion.

perhaps people dont understand the wording.

The brokerage firms are saying 6.5 because that is the amount of the stock that is being bought out. The brokers are not going to discuss debts and fees because the only deal with the stock issues

lol of course they are.. i posted an excerpt from what 2 respected brokerage firms had to say with regards to the buyout who were also associated with it and they said $6.5 billion WITH the assumption of 850 million dollars in debt. the total is $6.5 billion. sorry.

Debt conversion is just that. Converting debt from one party to another. This debt didnt exist til the company was sold.

yes they assumed debt and that possibly is where the 9bil figure came from

The deal is for 9.2 billion. The share holders will get 6.5 billion and the remaining 2.7 billion is for Conversion of debt and other expenses. But the total out of pocket for Sprint is 9.2 Billion.

by the way, they only have $1.3 billion in debt. (nxtp i mean)

Does/will MetroPCS fit into this equation ever.

nothing has been mentioned about metroPCS yet.